Home / Knowledge / News / Textiles / Wool market drops
Wool market drops
23
Aug '11
The AWEX Regional Indicators finished a further 2.8% lower, on average, at sales in Sydney, Melbourne and Fremantle this week when the US exchange rate rose by 2.3%.

46,967 bales were on offer in a smaller sale, compared with 58,531 bales last week. 18.4% were passed in, comprised of 16.4% in Sydney, 17.3% in Melbourne and 26.9% in Fremantle. Pass-in rates for Merino fleece and skirtings were 22.5% and 14.0%, respectively.38,307 bales were cleared to the trade.

The US Exchange rate recovered significantly this week, rising from 102.70¢ last Thursday to close at just over 105¢ this Thursday. Some recovery from the over-reactive fall of the last two weeks was anticipated by financial analysts. The question now posed by analysts earlier in the week was how much the recovery might continue in coming weeks. They indicated that there is a large amount of watching, while attempting to get a feel for what will happen in the United States and European economies. But, a further loss of confidence saw the exchange rate fall to 103.38¢ at the RBA close on Friday.

The fall in the US exchange rate last week buffered Australian wool growers against the fall in the EMI in US currency then. That was reversed this week with the rise in the exchange rate resulting in a greater fall in the EMI in A$ than in US currency.

The market softened further this week when it opened on Wednesday, with the Merino types more severely affected than crossbred wools. Falls were recorded across all Merino micron ranges and types. Growers were more prepared to sell in the North, where the pass-in rate was 11.7%, but not in the South or the West where the pass-in rates were 20.1% and 21.9% respectively. The market eased again on Thursday, with the greatest effect at the fine end in the North. This led to a general increase in grower resistance to selling, when the national pass-in rate rose to 19.4% and the Western pass-in rate rose to 32.1%.

Overall, the greatest falls were at the fine and broader ends of the Merino micron ranges, with the 19 micron MPG the least affected.

Prices for skirtings followed the fleece types on Wednesday, as was the case on the first day of selling last week. Thursday's sale saw some early support for skirtings in the North. But, it was not maintained throughout the sale. The offering in the South on Thursday contained a large proportion of high VM wools which attracted limited support. Prices also eased further in the West on Thursday.

Crossbreds were the least affected, as occurred last week, with small falls in the 28 and 32 micron average AWEX MPGs and a 10¢ rise in the 30 micron average MPG. The 28, 30 and 32 micron average AWEX MPGs are the only MPGs above their season opening levels. Wool Services International also reported increases for New Zealand crossbred wool. Oddments were down on Wednesday, and were generally down on Thursday, except in the West where AWEX reportedthat locks and crutchings were 10¢ dearer. The average AWEX Merino Cardings Price Guide is 9.3% less than at the start of the season.


Must ReadView All

Textiles | On 22nd Jul 2017

Govt constitutes GST Feedback and Action Room

The Government of India has constituted a Feedback and Action Room...

Textiles | On 22nd Jul 2017

India’s cotton textile exports fell in FY17: Tamta

The overall export of cotton textiles from India declined in 2016-17...

Textiles | On 22nd Jul 2017

Stella McCartney, Bolt Threads partner for eco fashion

Fashion designer Stella McCartney has partnered with Bolt Threads for ...

Interviews View All

Awen Delaval
Samatoa

'Natural fibres are appreciated for traditional authenticity'

Rahuul Jashnani
Jashn

‘Online economy has changed the whole dynamics of buying habits.’

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X